Not Made Of Money » Personal Finance

Financial Goal Setting for 2009

Dana Joseph — Sun, 16 Nov 2008 13:22:09 +0000

Although it may seem crazy to be thinking about 2009, these last months preceding the beginning of the new year are the perfect time to start setting your goals for 2009. As the curtain closes on 2008, you are ready to assess the past events of the year and start dreaming about the next year. Did you achieve your 2008 goals? If you didn’t, do you need to adjust those goals?

Beginning your goal setting for 2009 early allows you plenty of time to decide what goals you really want this year. Hold a family meeting and talk about the things your family wants or needs. Look over your finances and decide what is actually possible. Then, you can put your new goals down on paper and start your progress towards them. Common goals you might consider are…

Getting out of debt – Almost every household has some debt they’d like to vanquish from their lives. Why not make 2009 the year that you defeat yours? Take some time to chart out a course for your path out of debt. How much money will you devote to your debtors each month? How will you avoid accumulating any additional debt? With a clear plan, you can be certain to take a bite out of the debt that is strangling so many families.

Set up an emergency fund – To avoid having to go into debt whenever you’re faced with one of life’s unexpected curveballs, you need to have an emergency fund set up. For a barebones emergency fund, you should work towards saving $1,000. That’s enough money to provide you a little cushion in the face of an emergency. However, a healthier emergency fund would include enough to pay your household expenses for at least three months.

Buy a new home – Although there is a lot of talk about people being unable to buy a house right now, people who have the ability to qualify for a mortgage in the traditional manner may be able to find quite a steal in the home market right now. First, though, you have to be financially prepared for homeownership. You will need to save enough money to make a down payment on your new house. You will also want to have enough money to pay for the mortgage costs and to cover any unforeseen move-in costs like paint or carpet cleanings.

Upcoming major purchases – As you make your plans for 2009, be sure to take stock of any major purchases you may need to make. Has your refrigerator been making odd noises? You may need to include purchasing a new one in your plans. Is your family planning to take a vacation in 2009? Determine how much you’ll need to save to cover those expenses.

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How to Deal with Financial Stress in Your Life

Dana Joseph — Fri, 14 Nov 2008 12:12:13 +0000

The day-to-day workings of personal finance can bring a lot of stress into your life. As you create your family’s budget, you have to mark hard choices about what you can afford and what you can’t. You also have to make decisions about life-changing topics like insurance, retirement savings, and mortgages. Personal finance can sometimes feel like being in a big pressure cooker.

As if the normal stress of dealing with money isn’t enough, you also have to deal with financial crises. There you are, struggling with getting your finances under control. Then, just as you start feeling like you’re making progress, something unexpected happens, car trouble or a job loss. Suddenly, your finances are out of control again. No wonder you feel stressed out.

Nothing is going to allow you to eliminate all of the stress that comes with dealing with the financial aspects of your life, but there are a few ways you can mitigate your stressors. The next time you feel tension building why not try one of these methods of lowering the pressure?

Find the factors you can change. One of the most frustrating parts of personal finance can sometimes be dealing with all of the things you can’t change. Try to focus, instead, on the factors that are in your hands. For instance, if you find yourself out of work due to company down-sizing, try not to spin your wheels over the layoff. Instead, focus your energies on finding a new job or whittling your budget down to the bare minimum.

Make your peace with unchangeable factors. I know we’ve already touched on this part, but it’s worth repeating. Don’t beat yourself up over past decisions that didn’t work out or things that are beyond your control. Just accept what’s already happened as a given and work forward from there.

Plan for the unexpected. Obviously can you can’t plan for specific, unexpected events. But you can have a contingency plan in place for those little surprises life tends to throw your way. An emergency fund can take all of the stress out of unexpected expenses like car repairs. Keeping your resume current will help you find a new job quickly after a layoff.

Take a break. Every once in a while, you just need a break from all of the pressure of dealing with your finances. When you reach your breaking point, don’t hesitate to step back relax for a minute. Indulge in a small luxury like seeing a movie with friends or getting a pedicure. Then, you can tackle your financial problems anew with a more relaxed and focused mind.

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Year End Charitable Contributions - What Can You Deduct?

Dana Joseph — Wed, 12 Nov 2008 14:46:58 +0000

Charitable deductions play an important part in many income tax returns. In essence, by helping someone else you can help yourself and reduce your tax liability. If you plan to make a charitable contribution in 2008 you can decrease your tax liability for this year. However, in order to take advantage of the tax benefits of your deduction you have to know the basic rules related to them.

There are several types of contributions that could result in a tax deduction. Cash donations and other donations are both eligible in some cases. Below are a few highlights to guide you through the issue. You should, however, discuss any contributions you make with your tax professional. He or she will be able to give you a definitive answer on the topic.

Receipts – You’ll need a receipt for each of your contributions, whether they are cash or something else. The receipt should include the date of the donation, a description of the donation, and acknowledgement that you didn’t receive anything in exchange for the donation. If this sounds too detailed, don’t worry; most charities already know what the receipt needs to say and will provide you everything you need. Just be sure to tell them you want a receipt.

Cash donations – Cash contributions are the easy tax deduction to justify. You don’t have to worry about estimating the value of the contribution because it’s inherent in the dollar amount. Again, just don’t forget to get a receipt.

Other donations – Material donations are just as eligible for tax deductions, but you’ll need to do a little more work. For instance, if you donate clothes to your local thrift store, the receipt they give you may say nothing more than “one box of clothing.” You’ll want to count and list the times in your contribution yourself. Then, you’ll need to make a fair market value assessment to determine how much your donations were worth. Your tax preparer will be able to guide you a little in this matter.

Large asset donations – Aside from the average donation to your local thrift store, some people donate major assets like cars or boats to their favorite charities. If you make this kind of contribution, there are other steps you will need to take to justify the worth of your donation. An appraisal might even be necessary if the item has enough value.
Volunteer work – As important as volunteer work is and as valuable as your time is, volunteer work is not eligible for a tax deduction.

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Open Enrollment Time

Dana Joseph — Mon, 10 Nov 2008 10:43:25 +0000

As the new year comes hurtling closer and closer, many people find themselves faced with making some major decisions about their healthcare choices. For a great deal of employers, the first of the year marks the advent of their health plan’s open enrollment period. This time of year allows eligible employees to make changes to their health insurance coverage regarding their health coverage. However, since the employee and their family will have to live with these decisions for the next year, there are many things he should consider before he makes his election.

Adding additional family members to your health coverage is one type of change you might make during your employer’s open enrollment period. If you couldn’t afford to add your family members to your coverage last year, you should reconsider that affordability now. Bear in mind, however, that if your family members weren’t covered under some other type of policy before you added them to your medical insurance they may be subject to a waiting period before your insurance will cover certain types of illnesses or injuries. Make sure your human resources director explains these limits to you.

Many employers will allow you to choose between PPO or HMO medical insurance coverage. PPO’s typically allow you to see any doctor you’d like, although you may see reduced benefits with providers that are outside of the PPO’s network. HMO’s, on the other hand, require you to see providers within their network. Unless there is an emergency, HMO’s usually offer no benefits with providers outside of their network. Take a look at the way you and your family use your benefits to decide which type of coverage is best for you. Remember, though, that you can’t usually change this election for another year.

Finally, you’ll want to take a look at the other types of coverage that are available for you and your family at this time. Are you enrolled in your employer’s dental coverage? If you’re not, should you be? Paying for your bi-annual cleanings out of your own pocket isn’t usually too expensive, but other dental work can quickly get out of control.

Vision coverage is another popular supplemental coverage offered by employers. For a relatively small amount, you can add your entire family to this plan. If you have a lot of eyeglass wearers or contact lens users, this may be a worthy investment for you.

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Financial Steps to Take Before the Year Ends

Dana Joseph — Fri, 07 Nov 2008 13:45:45 +0000

What a year it’s been! Okay, it’s not over yet, but with all of this talk about the holidays, it sure seems like the end of the year is hurtling towards us at a crazy pace. Before we know it, we’ll be talking about New Year’s resolutions. Yikes!

Before the end of the year really is here, there are a few things you should consider doing. These things will leave you ready to face the new year and to enjoy what’s left of this one.

Verify that you’ve paid enough into the IRS for income taxes. Now, I’m not a proponent of paying a lot of extra money into the IRS; that’s like loaning them your money without getting any interest. But, unless you’re expecting your tax return this year to be drastically different than last year’s return, you should have paid in at least as much as you owed last year. You can quickly check this by looking at the YTD amounts on your W-2 and comparing them to the total tax amount on your tax return. You still have time to make changes to your withholding if you need to.

Make plans to contribute to your retirement fund. If you’ve been doing it all along through your employer-sponsored 401(k) plan, that’s great. If you don’t have access to that kind of luxury, though, you’ll want to put some thought into opening a traditional IRA or Roth IRA for yourself. Although you don’t have to make these contributions before the end of the year to take advantage of the tax benefits (you have until April 15th), it’s not a bad idea to start thinking about it now.

Make sure you’ve used all of your cafeteria plan funds. Again, you may have some extra time to use these funds after the year is over (check with your employer for those details), but you should at least be making a plan to use all of the money in your cafeteria plan. Hunt down receipts for items you haven’t sent in yet such as over-the-counter medication, contact lens supplies, and child care invoices. If you don’t use this money before the end of the year (or your grace period) you will forfeit your claim to it. Leaving your money for someone else to use is always a bad idea.

Take a moment to reflect on the past year. Now is the time to decide what things worked for you and what things didn’t. Did you take a stab at the envelope method, but then realize that using nothing but cash didn’t work for you? What went wrong? Maybe you can try a modified version of it next year. How did you do with your savings goals? Did you save enough to replace your refrigerator like you planned? What things should you planning to save for next year? Congratulate yourself on the things that went well and look for ways to salvage the attempts that didn’t go as smoothly. Either way, you probably learned a lesson or two about your finances.

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Four Ways to Earn Extra Cash in Time for Christmas

Dana Joseph — Mon, 03 Nov 2008 10:15:53 +0000

Now that stores everywhere are starting to sparkle with Christmas merchandise, you may have found yourself going into a panic. How are you going to afford all of the things you want to do this Christmas? Maybe you’ve got your heart set on buying your children some really snazzy gifts. Or maybe you want to make the trek home to your parents’ house for Christmas. Whatever your holiday plans, you can almost bet that you will need some extra money to make them happen.

Before your panic turns into a full meltdown, you should know that there are some simple ways to earn some extra cash in time for your holidays. Depending upon whether you have an abundance of time, talent, or stuff, you can turn your excess into money in no time.

Sell your junk. Selling your unwanted items on eBay just gets easier and easier. Simply take a picture, type a short description, and click a few buttons and your product is out there for someone to find. Maybe there is someone, right now, looking for the old edition that magazine that’s collecting dust in your closet. Do a little research by looking at similar items to help you decide the best way to list your treasures.

Work at your favorite store. Almost all retailers need extra help on the holidays. Why not cash in on the time you spend in your favorite shop and earn a paycheck? You may even get the benefit of a bonus on your purchases there.

Put your talents to good use. Bake breads and treats to sell at a local market. Knit tiny baby blankets to sell on Etsy. You may even be able to help your neighbors by starting a Christmas light hanging service. Just look for ways to use the things your good at to benefit someone else. You can advertise online in a community bulletin board or by hanging flyers in your neighborhood.

Become a salesperson. Do you enjoy going to Pampered Chef or Home Interiors parties? You can earn your own little stash for Christmas by becoming a salesperson. Start a little early (You don’t want to be trying to talk your friends into hosting parties during the holidays), and you’ll be able to build your own Christmas fund. Be sure to choose a company that allows you to minimize your initial investment, as well as finding a product that you really enjoy selling.

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Increasing Your Liquidity

Dana Joseph — Mon, 20 Oct 2008 19:18:33 +0000

In these scary financial times, one way to make yourself feel more secure about your fiscal position is to increase your liquidity. Before you let this term intimidate you, you should understand that liquidity isn’t some fancy thing that only rich folks enjoy. Liquidity simply means having your money is a place where you can easily get to it.

All of the money in the world won’t do you any good if you can’t get to it when you need it. Improving your liquidity will allow you to use your money when tough financial times require that you dip into your savings. Making a few simple changes in your financial plans will make your financial position more liquid than ever.

First, using a basic savings account is preferable to investment vehicles like CD’s or stocks in terms of liquidity. Savings accounts will earn a lower rate of interest, but as a savings account holder you can rest safe in the knowledge that you can withdraw your money any time you want. In addition, savings account won’t be subject to the rises and falls of the stock market. You will never lose money in a savings account.

Another way to increase your liquidity is avoiding committing yourself to any mandatory, monthly payments. Sure, you may be able to afford that payment on your new television now, but what happens if something changes? Locking yourself into regular payments each month won’t leave much wiggle room in your budget if you lose your job and face an expected, major expenditure.

Finally, avoid putting your money into investment vehicles that penalize you when you make early withdrawals. If you simply can’t stomach the idea of earning the small return that comes with a savings account, you can invest your money in a reliable mutual fund. (Although, given the current economic climate, reliable may become a relative term.) You should, however, avoid putting money into certificates of deposit or retirement accounts if there is any chance that you might need to use your money in the near future. Stiff penalties for early withdrawal will more than eat up any incremental earnings these types of investments might yield if you take your money out too soon.

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Easy Ways to Earn Extra Cash for the Holidays

Dana Joseph — Thu, 04 Sep 2008 18:01:22 +0000

Now that the kids have gone back to school, you know the holidays are just around the corner. Have you started working on a plan for your holiday expenses? After you’ve made a tentative list and determined how much you’re going to spend this year, you may realize that you don’t have enough money set aside to pay for it all. Rather than going into to debt to pay for your holiday expenses, check out these suggestions for funding holiday gift-giving.

Sell unwanted stuff on eBay. Be sure to set up a separate PayPal account for your eBay sales. You can pay for any shipping costs out of the same account, so that the balance of your account is truly your profit. You’ll clear your house of clutter and earn a little cash.

Pick up an extra shift, or two, each week. If you work a job that pays you by the hour, picking up a little overtime is an easy way to stockpile some extra cash. Many times, the amount of money you would earn in an overtime situation is way more than you would earn in a second job. You can work ten hours and get paid for fifteen.

Get a part-time job. If you work a salary job or don’t work outside of the home, you might consider working a part-time job during the holidays. One or two days a week are all that you’d need to work to put a nice little savings account together before the holidays. On a side note, if you choose a retail store as the location of your seasonal job, you may even get a discount when you start your holiday shopping.

Start a small service business. Think about the things that you regularly put off doing and build a small business looking after it for other people. Detailing cars, cleaning gutters, and dog walking are all relatively simple things to do, but no one really wants to do them. Post a few flyers around the neighborhood to advertise your services, and you’ll be on your way to earning some holiday dollars.

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Top Four Reasons to Use Online Bill Pay

Dana Joseph — Tue, 02 Sep 2008 17:58:36 +0000

I have to admit that I think online bill pay is one of the best things banks home come up with in years. What other invention makes it so easy to pay your bills accurately and efficiently? With a few clicks of a button, bill paying is done, and I can get on with my day. Although there are a low of reasons that I find myself singing the praises of online bill pay, here are my four favorite reasons.

You never have to worry about forgetting to write down a check that you’ve written. If you use my checking account’s online bill pay system, the transaction is already recorded when it happens. Paying everything online also eliminates any math errors you might make when you’re subtracting payments from your account.

You can schedule payments ahead of time. If you’ve got a vacation coming up, bill payment can get a little iffy, especially if you some of your bills are due during that time. You may not be able to afford paying the bills early; you may need to wait for your regular payroll deposit. Paying your bills online allows you to schedule your payments well after you know your payroll will hit your account. You can relax and enjoy your vacation knowing that your finances will be fine until you get home.

You can pay virtually anyone. You may wonder about the convenience of using online bill pay if some of your vendors aren’t large corporations. How do you pay your doctor’s office or homeowners association dues? Fortunately, many bill payment systems allow you to set up vendors that are specific to you. Your bank will write its own check to your vendor and send it to him.

You can eliminate some of your paper bills. Many creditors like your credit card companies, your utilities, and your insurance providers may actually enable you to receive your bills electronically through your online bill pay system. Now, not only can you pay your bills online, but you can view and file them, too.

If you’ve been putting off switching to online bill pay, now is the time to check it out. Apprehensive folks can test the waters by paying one or two bills for a couple of months to satisfy any concerns. You’ll quickly see why online bill pay is the way to go to take care of your family’s finances.

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Four Financial Moves to Prepare for a Recession

Dana Joseph — Wed, 20 Aug 2008 10:08:48 +0000

All of the talk about whether or not our nation is in the throes of a recession can be pretty scary. If we are in the middle of an economical recession, are you prepared to deal with it? Although nothing will guarantee your financial security during these uncertain times, there are a few steps you can take to make sure that you and your family are prepared to weather out any financial storms.

Make regular contributions to your savings accounts. The best way to avoid being devastated by a recession is to make sure you have the reserves in place to help you through any unexpected woes. A decrease in your paycheck or an unforeseen expense doesn’t have to be catastrophic if you have options for dealing with it. While you’re still coasting along like normal, make sure that you’re putting a little cash away for a rainy day.

Rethink your current expenses. If financial troubles may be in your future, there’s no time like the present to start looking for the fat in your budget. Try cutting back on little luxuries so that you can contribute more money to your savings account. A reduction in your cable or satellite television service is an easy way to cut expenses without really feeling the pinch. By making tiny sacrifices now, you can help stave off the need for major sacrifices down the road.

Carefully consider any new purchases. This doesn’t mean that your little one can’t have the new sneakers that he desperately needs. However, before you decide to upgrade to a newer, sleeker refrigerator, stop and evaluate whether this is the best time for your purchase. If you wait a year and still have the money in your savings, by all means, shop for a bargain and enjoy your new refrigerator. But, if you repeatedly have to take the money you’ve saved for this purchase out of savings and then struggle to put it back, you’re probably not ready to spend this kind of money.

Nix any purchases on credit. It’s easy to be tempted to make large purchases now and pay for it on a “same as cash” payment plan. You may reason that since you don’t have to pay any finance charges on this purchase and the payments are relatively low there’s no reason that you can’t go ahead with your purchasing plans. Remember, however, that if you experience any sudden changes in your financial situation, you will still have to make payments on your “same as cash” plan or, worse, have to pay the entire balance at the end of the agreed upon term. The last thing you want hanging over your head is the knowledge that you’re going to have a large payment coming up while you’re in the middle of a financial crisis.

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Preparing for Financial Disasters with Flood Insurance, Hurricane Insurance, and Wind Damage Insurance

Dana Joseph — Fri, 15 Aug 2008 11:43:04 +0000

Everyone wishes they had a crystal ball and could tell when disaster is going to strike. Wouldn’t you love being able to tell when something unpleasant is about to happen? You could protect your family and belongings; you could also adapt your schedule to make time for dealing with the aftermath of the disaster.

Unfortunately, no one has the ability to plan and schedule the natural disasters that seem to strike when we’re at our absolute weakest. That inability to predict calamities is exactly why you need to have financial stopgaps in place to help you recover from these types of events. The various types of insurance available to individuals and families are the perfect place to begin building your emergency recovery plan.

Flood Insurance – For families who live in a designated flood plain, flood insurance is as much a part of life as auto insurance and taxes. If you’re a homeowner who is still paying off a mortgage, you’re probably going to be required to have it as a part of your homeowner’s insurance. Even if you’re renting, however, you will want to add this important coverage to your renter’s insurance to protect your personal property.

Homeowners who don’t live in a flood plain should also think carefully before deciding whether or not they need this coverage. Flood damage is often specifically excluded from the standard homeowner’s policy. You’ll need to weigh the likelihood of your having to deal with flood damage to decide if you need this type of insurance.

Hurricane Insurance – Much of the damage that comes from hurricanes is already covered by your standard homeowner’s policy. The damage that is done to the exterior of your home by the force of the hurricane’s wind is typically a covered by your standard homeowner’s policy. Pay careful attention, however, to your policies disclosed exclusions. If your policy specifically doesn’t cover hurricanes and you live in a hurricane-prone area, you’ll want to purchase coverage for this type of event.

You should also note that a great deal of the interior damage that is associated with hurricanes isn’t actually considered hurricane damage. Water damage resulting from the flooding that often follows a hurricane is classified as flood damage. Bear this fact in mind when you’re evaluating your need for flood insurance.

Wind Damage Insurance – Wind damage insurance is often a part of your standard insurance coverage. However, you will still want to read the fine print of your policy to make sure your home is protected. Some areas of the country that are particularly prone to strong wind-based storms will require the purchase of additional coverage to provide benefits for damage to your home or property from these types of storms.

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Learning Your Lesson from Past Financial Mistakes

Dana Joseph — Mon, 11 Aug 2008 11:09:18 +0000

When you were in school, you were probably told all the time that you would never stop learning. While that statement is probably true throughout your life, it is certainly true regarding your financial matters. Learning to deal with personal finance is an ongoing process that continues as your life circumstances change.

Aside from learning to deal with new aspects of your financial life, part of learning to handle your finances is coming to terms with your financial mistakes. You need to take time out to evaluate which budgeting and spending techniques are working for you, which ones aren’t, and what you’re going to do next. Every six months or so, you may want to mull over items like these:

If you could take back one financial move you’ve made lately, which move would it be? Maybe you’re suffering from buyer’s remorse about a sewing machine you purchased. Or maybe you’ve invested money into a mutual fund that isn’t performing the way you’d like it to perform. Identifying your mistakes is the first step to learning from them.

Why do you regret that move? Are you upset about the sewing machine because you didn’t get the product you thought you were buying? Were you hoping for a higher return on that mutual fund? Understanding why a specific move was a mistake can help you avoid making the same mistake again.

How can you fix your mistake? If you made a purchase that disappoints you, perhaps you should resolve to spend more time researching your next major purchase. If your investments don’t work out the way you thought they would, you may want to seek out more advice before you make your next investment. There’s no point to feeling miserable over something that’s already happened. Once you’ve made a mistake, you can only do your best to counteract it and move on.

The most important thing you can do when evaluating your past financial mistakes is to avoid beating yourself up. You are going to make some mistakes along your financial path. Don’t forget, however, that as long as you keep working to improve your handle on your money matters, you can continue to be proud of yourself and your hard work.

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Storing Your Financial Documents: What to Keep and What to Shred

Dana Joseph — Thu, 31 Jul 2008 11:10:15 +0000

photo credit: SideLong

Clearing your house of clutter can be a cathartic process. Imagine how much more organized your home’s office will be when you’re not holding on to all of those unnecessary documents. Many documents are only needed for a specific length of time. Before you get started stripping away those extra layers of paperwork, however, you should know exactly what you can and can’t toss.

What to Keep:

Wills – These should be kept in a disclosed location. You’ll want the executor of your will to be able to find it if it becomes necessary.

Real Estate Documentation – The paperwork from purchasing a home, refinancing a home, or making major improvements on the home should all be kept for at least as long as you own the home.

Personal Documents – Keep identifying documents like social security cards, birth certificates, and passports in a safe, secure place. A fire safe is a good option for storage in the home, but a safety deposit box is even better.

Paperwork from Major Purchases – Receipts and titles for cars, appliances, and other big-ticket items should all be kept for the life of the asset. You’ll need the title for any car that you sell or trade in. And, receipts of major purchases make claims for warranties much easier.

Investment Records – Statements from stock accounts and mutual funds should be kept at least as long as you own the account. Then, be sure to check into the income tax record requirements before you shred the statements.

What to Trash:

Tax Returns More Than Seven Years Old – The IRS only requires that you keep your tax returns for seven years. Be sure to keep all of the supporting schedules and documentation that go with your returns, as well. After that time has passed, you may shred them.

ATM Receipts – Once you’ve reconciled your checking account at the end of each cycle, you no longer need to keep ATM receipts. Just verify that the bank has recorded the transaction correctly, and then you can be done with them.

Utility Bills – Although it is a good idea to maintain these records for some time, utility bills that are over a year old aren’t usually required. Once you get your file pared down to twelve month’s worth of records, you can simply throw out the oldest invoice when you file the newest one.

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Five Ways to Stay on Track with Your Spending List

Dana Joseph — Sun, 27 Jul 2008 11:10:44 +0000

Controlling your spending while shopping can be really hard sometimes. You start off with the best of intentions; you have a carefully planned shopping list. Then, as you’re making your way through the checkout lane, you look down and realize that you have way more stuff in your shopping cart than you are supposed to have. Where did you go wrong?

Making a shopping list is only the first part of controlling your spending list. The more important step is sticking to that list once you get to the store. Stores design their layouts and displays to tempt you to make impulse purchases, so you’ll need a few tricks up your sleeve to escape without spending any more than you have to.

Leave the kids at home. Having an extra set or two of hands will make it harder to keep extraneous items from making their way to your shopping cart. Avoid the dreaded, “Mommy, I want,” entirely to make your shopping excursion easier.

Give yourself a time limit. If you have extra time to browse the store, you’re much more likely to find one more thing that you “have to have.” Shopping quickly only leaves time for you to collect the items on your list and make your way home.

Avoid shopping on Saturdays and other typically busy times. Long lines only slow you down and add to your stress level. You’ll be less likely to make impulse purchases if you’re enjoying your shopping trip.

Carry a specific amount of money with you. You have an idea how much you’ll need to make the purchases on your list. Bring just enough cash with you to buy those items, and you won’t have the option to buy extra things. Make sure you leave your credit card at home, too.

Shop with a buddy. Peer pressure can be positive if it’s used correctly. Bring a friend with you when you’re tackling the shopping. You can encourage each other to stay on track while you each shop for your own families.

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Ways to Save on Home Insurance

Dana Joseph — Wed, 23 Jul 2008 14:16:26 +0000

photo credit: hoyasmeg

Homeowner’s insurance is a regular expense for anyone who owns a home. This extremely important insurance coverage protects what is, for many people, your most valuable asset. But, in these trying financial times, even the most necessary expenses need to be kept to a minimum.

Saving on your home insurance is often as easy as making a phone call. Many times, there are discounts available to you that you may not be utilizing simply because you didn’t tell the insurance agent that they applied to you. Talk to your insurance agent and explore the different discounts that will entitle you to lower insurance premiums. Possible discounts may include:

New Home Discounts – Be sure to tell your agent if your home is less than ten years old.

Material Discounts – Homes made with some more durable materials like stone or bricks may enjoy lower premiums. You should also ask your agent about any discounts for damage-resistant roofs made out of materials like metal or tile.

Alarm Service Discounts – Homes that feature monitored alarm services are often eligible for special discounts.

Insured Age Discounts – Older homeowner’s may enjoy lower premiums than their younger counterparts.

Claim-Free Discounts – Homeowners who never, or rarely, file a claim are often favored with discounted premiums.

Besides taking advantage of special premium discounts, you may be able to find another way to lower your insurance premiums. If you can afford to pay a higher deductible in the event of a loss, you can raise your deductible and enjoy some significant savings. Just take care to choose a deductible amount that won’t throw your family’s finances into chaos.

Finally, carrying all of your insurance coverage through the same company will entitle you to many multi-policy discounts. For instance, having your auto insurance and homeowner’s insurance through the same carrier will entitle you to a nice discount. While shopping for insurance, be sure to mention each type of insurance you need and find a carrier who can take care of each one. And, as with all things, be sure to shop around to get the best possible price.

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